Rate Cuts 2025 History Chart. They also forecast two fewer rate reductions in 2025 than they had previously expected,. The fed held rates at its first meeting on wednesday, january 29, 2025, at a target range of 4.25% to 4.50%.

As for when the fed’s predicted rate reductions will arrive, markets are betting we’ll be waiting several months before. 18, 2024, the federal open market committee (fomc) cut the federal funds rate by 25 basis points (bps) to 4.25% to 4.5%, the third straight rate cut last year.